Update on the Global PBR : Catherine Russell

Dear Colleagues,

I am writing to share with you an update on the status of the Future Focus Initiative. In particular, I wanted to be sure you are aware of the discussions at the recent Global Programme Budget Review (PBR). The attached Information Note provides an overview of the decisions following the June Global PBR, as well as an update on the next steps in the Global PBRs in July and September. The outcomes of the Regional PBRs have been shared with the concerned Country Offices.

As we continue to navigate one of the most challenging periods in the organization's history, we remain committed to a UNICEF that is fit for the future, optimizing resources and capacities to achieve impact for children. Our ambitions are driven by the urgent need to protect our global mission in the face of unprecedented threats including a dire funding outlook. This has required very difficult decisions which I know are already having a direct impact on staff members.

Over the past months, teams have worked tirelessly to face these challenges. They have developed plans that have now been reviewed by the Global PBR for HQ and RO submissions, and Regional PBRs for Country Office submissions. Overall, we estimate the first round of Global PBR decisions has delivered a total of $305 million in savings for the new quadrennium, which is expected to increase following the remaining PBRs. In terms of staff impact, it has resulted in a net reduction of 511 positions across HQ and ROs, both senior and more junior levels, and the relocation of 70 per cent of staff out of Geneva and New York.

The change we are implementing is immense and the pace, by necessity, is intense. I understand that this is not an easy or straightforward process. It touches every corner of our organization and disrupts many aspects of our day-to-day work. I regret the uncertainty this brings - both professionally and personally - for each of you. This will be a particularly difficult period for many colleagues with the issuance of additional abolishment letters. All of us, led by DPC, are committed to supporting staff during this time. This includes the upcoming launch of the global ring-fenced recruitment exercise, as well as the Staff Support Strategy and Voluntary Separation Scheme.

Throughout these changes, your commitment to UNICEF and our mandate for children has been extraordinary and truly inspiring. While facing very tough circumstances, you continue to do your part to ensure that UNICEF will always be a powerful force for children. My sincere thanks to all of you for coming together for UNICEF, and for each other, during this time.

With my warmest regards,
Cathy Russell

Here is a summary of the ED's message and the accompanying Information Note from the July 2025 Global PBR:

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Summary of Cathy Russell’s Message and Global PBR Update – July 2025

UNICEF is undergoing sweeping structural and budgetary reforms under the Future Focus Initiative in response to a severe funding crisis. Following June and July 2025 Global Programme Budget Review (PBR) sessions:

• $305 million in savings have been identified so far for the new four-year period, including a net reduction of 511 posts at HQ and Regional Offices (ROs), and relocation of 70% of Geneva and New York-based staff to lower-cost locations.

• Programmatic consolidation and relocation include:

  • A new Division for Strategy and Effectiveness in Florence consolidating DAPM and GORAF.

  • GIGA is now merged into ICTD, forming a new "DigitalOne" support team.

  • The Office of Innovation is folded into the Programme Group and Centers of Excellence (COEs).

  • COEs will be based in Amman, Bangkok, Nairobi, and Panama, with matrix reporting to ROs.

• Programme technical posts in ROs are being abolished to reallocate resources to the COEs.

• New Multi-Country Offices (MCOs) are planned in:

  • Caribbean (Jamaica-based) consolidating UNICEF presence in 12 CARICOM states.

  • Europe (covering Croatia, Bulgaria, Romania, and Greece).

• A Global Shared Services Centre is being established for recruitment, travel, and contracting.

• A Global Cash Assistance Hub is in development to support country offices’ cash-based aid at scale.

• The OED submission (Office of the Executive Director) is still under review, with focus on global risk management structures.

Next steps include:

• Abolishment letters issued in late July.

• Vacancy notices for a ring-fenced recruitment exercise to be posted in early August.

• Further PBR sessions planned in September (DFAM and common services) and January 2026 (remaining RO consolidations).

These changes are described as “immense” and deeply disruptive, but necessary to maintain UNICEF’s mission. Cathy Russell acknowledges the hardship to staff and emphasizes support measures including the Staff Support Strategy and Voluntary Separation Scheme.